Highlights

  • The North Stanmore Pre-Feasibility Study returned a post-tax NPV8 of A$1.21 billion and an IRR of 240%.
  • A maiden Probable Ore Reserve of 47.0Mt at 692 ppm TREO was declared.
  • Mining Lease M20/564 was granted, covering about 2,006 hectares.
  • Heavy rare earth concentrate was dispatched to potential offtake partners in Australia, Japan and the US.

Victory Metals Limited (ASX:VTM) has released its quarterly activities report for the period ended 30 September 2026. The company released a Pre-Feasibility Study for its North Stanmore heavy rare earths project near Cue and secured mining tenure.

Pre-Feasibility Study Outcomes

The PFS, released on 18 August 2026, returned a post-tax NPV8 of A$1.21 billion and a post-tax IRR of 240%. Initial capital is estimated at A$155 million, including 30% contingency, with payback of about 1.5 years. Life-of-mine revenue is estimated at A$6.5 billion over about 20 years.

The study is based on shallow, mostly free-dig open-pit mining and flotation at 2.4Mtpa, producing about 29,000 wet tonnes per year of heavy rare earth-enriched concentrate. The production target is based entirely on the Probable Ore Reserve.

Ore Reserve, Resource and Mining Lease

Victory declared a maiden Probable Ore Reserve of 47.0Mt at 692 ppm TREO and 248 ppm HREO. The updated Mineral Resource is 278.8Mt at 483 ppm TREO, including a maiden Measured category of 70.7Mt and a high-grade domain of 53.3Mt at 1,024 ppm TREO.

Mining Lease M20/564 was granted in September 2026, covering about 2,006 hectares. It follows a Native Title Mining Agreement with the Wajarri Yamaji Aboriginal Corporation. CEO Brendan Clark called the grant a major milestone for Victory.

Concentrate, Funding and Next Steps

Concentrate from the Perth pilot plant was dispatched to potential offtake partners for testing and qualification. Mineralogy work found most rare earths are hosted in secondary phosphates, although ALS flagged uncertainty in some measurements.

Cash was about A$9.18 million at quarter end, with an estimated 4.37 quarters of funding. Funding options under review include a non-binding US EXIM Letter of Interest for up to US$190 million. Next steps include a Definitive Feasibility Study, product qualification and offtake discussions.

Key Takeaways

  • The PFS points to strong economics for North Stanmore.
  • A maiden Ore Reserve and granted mining lease de-risk the project.
  • Concentrate is being tested by potential offtake partners.
  • Victory is moving toward a Definitive Feasibility Study.